Increase in sales volume of domestic goods in North Korean stores

Institute for Far Eastern Studies (IFES)

North Korea’s official news agency, Korean Central News Agency (KCNA) reported on March 25, 2015 that the volume of domestic goods sold at North Korean stores is increasing.

“Every display is filled with all kinds of inexpensive, high-quality domestic goods. Numerous shoppers are purchasing these goods, all of which are produced at domestic light industry factories. This is a sight that is commonly seen today at Choson’s [North Korea’s] department stores,” KCNA reported.

The news agency also quoted the manager of Pyongyang’s Department Store No. 1: “In recent years there have been remarkable improvements in every indicator, from the amount and quality of light industry goods produced domestically to the brands and packaging. As this has occurred, demand for these goods has increased,” he explained.

While he says that stores are mainly selling domestically produced goods like food and cosmetics, he also said, “Because furniture and building materials, shoes and clothing, medicine and other goods are also low-priced and suited to the tastes and health of our people, they are gradually overwhelming imports.”

The manager of Sinuiju Cosmetics Factory commented as well: “Previously, our ‘Pomhyanggi’ (or ‘Spring Scent’) brand was the only product that people could point to as a cosmetics product […] But the popularity of Pyongyang Cosmetics Factory’s ‘Unhasu’ (or ‘Milky Way’) is rising, and when you include the units produced at Myohyang Cosmetics Factory, its units actually surpass ours and are putting up a strong challenge. We had better get ourselves together.”

At light industry factories across the country, production of food products is rapidly increasing, and quality is improving as well. But it has reportedly not been easy to meet the people’s demand. Thus, manufacturers are working to improve product design and manufacturing technology and pledge to actively help improve the lives of the people.

In addition to this, KCNA reported that at places like the Namhung Youth Chemical Complex and the Hamhung Automated Equipment Factory, they are also spurring on production of domestic products through means such as domestically producing raw materials and equipment.

Meanwhile, North Korea is building one modern foodstuff factory after another in Pyongyang. The Rodong Sinmun, mouthpiece of the Workers’ Party of Korea, reported on March 18, 2015 that in the Nakrang district, construction of the ‘corn processing plant’ entered its final stages. There are plans for this factory to produce around 10 different food items out of corn (corn is the most common food ingredient in North Korea), including corn noodles and snacks.

On February 10, 2015, in Pyongyang’s Mangyongdae district, ‘Mangyongdae Kyonghung Foodstuff Factory’ was completed and went into operation. KCNA emphasized that this foodstuff factory is “a modern and comprehensive food manufacturing center” and will supply residents with “tasty and nutritious food.”

Similarly, in June 2014, the Unha Taesong Foodstuff Factory in Pyongyang’s Potonggang district finished construction and began production. North Korea’s official web portal,  ‘Naenara’ explained that the factory produces approximately 100 kinds of food such as bread, snacks, candy, beer, ham and sundae (or Korean sausage).

The fact that in a relatively short period of time modern foodstuff factories are continually being built in Pyongyang is consistent with the most important task of North Korea in the Kim Jong Un era: improving the food situation of the North Korean people. On February 18, 2015, First Chairman Kim Jong Un spoke at the enlarged meeting of the Political Bureau of the Workers’ Party. There, he asserted that the improvement of people’s lives was the nation’s first priority, and he specifically emphasized the importance of solving the food issue. Unlike the past, recent efforts extend beyond solving the food shortage problem and aim to raise the quality of food for the people.

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